This report has shown that Vodafone investigated several entry strategies

Executive Summary

This report has shown that Vodafone investigatedseveral entry strategies, including licensing and acquisition to join the international markets. Nevertheless, before making a choice, the decisionmakers looked at numerous entry strategy approaches related to the global market. The business enters the market with the right entry strategy planned to acquire a competitive edge. In most cases, Vodafone buys an alreadyexisting company before using its cuttingedge technologies to gain a competitive advantage and provide technical support but licensing to operate as a domestic business. Vodafones interest and licenses in countries including Australia, Greece, and Germany have expanded. Vodafone develops a worldwide strategy to gain a competitive advantage and to successfully implement a global strategy, Vodafone must be knowledgeable about the traits of global markets and the dynamics of global competition. This research proposal is about finding the most effective international market entry strategy for Vodafone to maintain and sustain its competitive advantage.

Research Title

The title of this proposed research project is “An Analysis of the effective entry strategies for the international market to maintain and sustain its competitive advantage: A Case Study on Vodafone, UK.”

Introduction and Rationale for the Study

Vodafone examined several entry tactics to enter the global market, including licensing, and acquisitions nevertheless the decisionmakers researched various entry strategy methods and the risks associated with the global market before making a decision(Amoako, 2017). To gain a competitive advantage the organization enter the market using the appropriate entry strategy planning(Boateng, 2016). Vodafone most case acquisitions existing firm and then create a comparative advantage with Vodafone’s innovative technologies(Kraus and Strömsten, 2016). Sometimes provide a license to work as a domestic company but they provide technical support to maintain and sustain their competitive advantage(Hannah et al., 2022).

Research Aims

This proposed research project is aimedto maintain and sustain its competitive advantage created through the entry strategy of Vodafone by licensing and acquisition.

Research Objectives

1. To critically analyse literature on the entry strategies for the international market to maintain and sustain Vodafone’s competitive advantage(Aquilina, 2017),
2. To determine the effective entry strategy to maintain and sustain its competitive advantage (AlKaabi et al.,2010).
3. To determine the opportunities generated by Licensing in the international market(Lilien and Yoon, 1990).
4. To identify the challenges faced by Vodafone to enter a new international market(Anwar, 2002).
5. To recommend Vodafone the strategies to maintain and sustain Vodafone’s competitive advantage(Stroube et al., 2019).

Research Questions

1. What are the competitive advantages gained by licensing in an international market?
2. What are the competitive advantages gained by acquisition in a foreign market?
3. What is the opportunity created to enter the international market?
4. What are the challenges faced by Vodafone to enter the international market??
5. What is the most suitable entry strategy for Vodafoneto maintain and sustain its competitive advantage?

Literature Review

According to Amoako (2017), Vodafone increased its interest and licenses in foreign nations like Australia, Greece, and Germany. According to Boateng (2016), Vodafone was known as Mercury, and it was a partnership between the cable provider Cable & Wireless and the phone provider US West. However, they focused on two distinct market segments Mercury focused on the private sector, while Vodafone focused on the corporate segment. The introduction of Orange, a network created by other organizations, within a year enhanced competition but by 1994, Vodafone was one of the biggest cellular networks in the business, with more than a million members. According to Kraus and Strömsten (2016), Vodafone kept growing in 1999 and its name was changed to Vodafone AirTouch plc following the successful completion of the acquisition of AirTouch Communications Inc. However, Vodafone reverted to using the name Vodafone Group Plc in July 2000. In the UK, the business attracted five million customers. Through partnerships and acquisitions, Vodafone has experienced greater success. Aircell, a division of Eircom in Ireland, was purchased by Vodafone in 2001. According to Sekhar (2016), Vodafone Ireland was the name of this company then, Vodafone purchased JPhone, a sizable Japanese mobile carrier. Vodafone implements an international strategy to acquire a competitive advantage and the managers within the organization must be aware of the characteristics of international markets and the dynamics of international competition for a company to successfully implement a global strategy. Vodafone must consider its market entry goals and the various access points into international markets as part of Vodafone’s participation strategy. They must then determine which method is the best course of action for them to take in various situations. These strategies of Vodafone may include licensing, strategic partnerships, exporting, or foreign direct investment (FDI). One of Vodafones primary strategies is to be inventive and flexible. In the UK, Vodafone was the first firm to introduce new technologies and get 3G licenses. The company also made profitable and correct predictions which it has tremendously benefited from and used an aggressive development plan to transform the business from a leading mobile provider in the UK to a global powerhouse.According to Hannah et al. (2022),Vodafone b purchasing AirTouch Communications Inc before buying numerous other telecom firms all over the world to transform them into a global wireless enterprise. Following this merger, Bell Atlantic Corporation and Vodafone AirTouch (VA) formed a strategic partnership. A legal framework was established in the EU that required telecom operators to get licenses and “Vodafone in Trouble The two entry modes at the time were licensing and strategic alliances as part of their global strategy. According to Aquilina (2017), The goal of Vodafones strategy is to find untapped areas outside of industrialized nations that can help it make more money in the telecom industry. Their plan to acquire Hutchison Essar in India is indicative of their strategy.According to Schuster and Holtbrügge (2012), Vodafones huge global acquisitions and expansion in the global markets have been effective for three reasons. Vodafone profited from chances presented by cellular technology and the Web in the 1990s. Vodafone entered overseas markets, one of which was successful (Germany), and the other which was not (Japan). According to AlKaabi et al.(2010), Well examine and contrast the two scenarios. We will analyze these regions based on this and offer our suggestions and opinions on these regions. Even though Vodafone had prosperous businesses in numerous nations around the world, one of the most prosperous areas that we looked at was the German market. According to Uzama (2009), Following their successful introduction into the German market. According to Correia (2010), Vodafone Germany continues to be among the most prosperous businesses in Vodafone’s industry, despite the economic downturn brought on by the present financial crisis. The entire profit for the fiscal year 2008/2009 was â3.7 billion, while service selling revenues were down just slightly from the prior year. This resulted from the control of mobile phone charges.According to Mboma and Ngaiza (2021), Vodafone Germany is a company that has successfully transformed into an integrated communication services provider and is ready for the future with a reliable business model. So far after the hostile takeover, Vodafone Germany has in terms of both market size and innovation and Vodafone’s capacity to be among the first to adopt new technologies, Japan is one of the most active and prominent mobile phone markets in the world. When compared to Europe, Japans market has comparatively low levels of penetration and it is a market with rapid growth with only three national operators competing, the Japanese market is one of the most developed in the world, making it a desirable alternative for Vodafone.According to Harlow (2011), It is characterized by relatively low levels of penetration compared to Europe. According to Correia (2010), Vodafone recognized Japan as a potential market many years ago, like many other western European businesses, but it took Vodafone time to enter the international market. Although Japan is a tremendously desirable market, it can be challenging for international businesses to succeed there. The Japanese market has long been seen as being difficult to get into due to Vodafone’s infamous resistance to the influence of foreign businessmen. According to Grant, and Grant (2008), Consumers frequently favour domestic brands over imports. This is a fantastic illustration of the backstage culture, in which only those who are part of the culture are aware of other aspects of the culture and are unwilling to this information to outsiders and it is exceedingly challenging for a foreign corporation to penetrate since only Japanese people truly understand Japanese culture and failed to do this and this contributed to the companys demise because they did not adapt or adjust to the culture of Japan. Vodafone did not pay attention to what Japanese consumers desired. They used the same marketing strategies that were employed in Europe.According to Reddy et al. (2014), In Japan, this failed and the delayed introduction of 3G mobile devices into the Japanese market was another error committed by Vodafone in Japan. Because of their timing, design, and performance, they lost to rival NTT DoCoMo. Vodafones competitors, NTT DoCoMo, have gained business because of the delays in implementing new technologies. According to Holland and Mandry (2012), Vodafone has a terrible time in Japan. Vodafone never succeeded in performing well in the Japanese market despite continuously renewing Vodafone efforts and investing billions of dollars also paid a Bank nine billion euros to purchase the JPhone business. It was the biggest error by private equity in Japan. These all reviews demonstrate the entry strategy and analysis of these statements to maintain and sustain its competitive advantage in the international market.

Research Methodology

Research methodology refers to the methods used to find, evaluate, and analyze the necessary facts and data gathered about a subject. The validity and reliability of a research project are improved by an established research technique (Saunders, Lewis, and Thornhill, 2009).

Research Philosophy

we approach this proposed study with the interpretivism research philosophy. The interpretivism research philosophy is founded on the idea that the researcher investigates a subject by observing the social environment (Andranovich, and Riposa, 1993). In the business world, theyll also carry out social research.

Research method

Data will be gathered both qualitatively and quantitatively to carry out the proposed study.statistics, data, and numbers are examples of quantitative data and graphical displays of this data will be used to analyse this study(Correia, 2010). Qualitative data refers to descriptive and nonnumerical data and Qualitative information will offer a thorough understanding of the research issue that has been chosen by the researcher (Saunders, Lewis, and Thornhill, 2009). To finish this research project, the mixed approach of data collecting will be employed. The information will be gathered from secondary sources, including websites, journals, articles, books, the internet, magazines, and newspapers, among others(Holland and Mandry, 2012).

Research approach

This planned research study will be completed using an inductive research methodology(Onsongo, 2019). Data about the research topic willbe gathered as part of the inductive research methodology(Lott and Sinha, 2019). This research strategy focuses mostly on qualitative information(Reddy et al., 2014).

Sample size

To have a sufficient sample size for this study from which to collect the necessary data, the researchers have taken the strategy of approaching random individuals. A total of 50 participants, including this companys employees, management, and associated stakeholders, were chosen by the researcher. By using the random sampling method of sample selection, the researchers have chosen the sample size. The most widely used technique for random sampling from a larger population.

Data collection approach

The required information will be gathered through secondary data sources(AlAtiqi and Mumen, 2014). The sources include websites, journals, articles, books, magazines, newspapers, and the internet(Harlow, 2016). Most of this research will be done on a computer and the researcher can complete the entire research process while seated in front of the computer(Grant, and Grant, 2008). Im going to use this approach to data collection because of easy access to the required data (Harlow, 2011).

Reliable/Valid

Validity and reliability are indicators of how consistently and accurately research measurements are used and the validity and consistency of the research are assessed to find valid data(Schuster and Holtbrügge, 2012). Since all methodologyrelated stages would be followed and credible data sources will be used, and the suggested research project will be trustworthy and valid.

Ethical Considerations

The following ethical considerations will be made when conducting the proposed research project: 

1. The researcher will gatherauthentic data.
2. To eliminate unreliable information from the study endeavouran appropriate referencing technique will be applied.

Limitations

The research will an effort to get the best results possible from this research however they have encountered some constraints. Since the sample size for this project appears to be small so it is impossible to have the actual scenario. Additionally, the secondary statistics for this project may be slightly inaccurate.The following are the research projects limitations:

1. The major data sources could give inaccurate and biased information, which could skew the findings of the study(Mboma and Ngaiza, 2021).
2. The research projects scope might be constrained by time and financial constraints(Sekhar, 2016).
3. Not all the fields that international entry will not be discussed by the proposed research project(AlKaabi et al.,2010).

Cost structure

Resources

The researchers will occurusing a variety of resourcesfor this project, the data analysis and data display tasks will be completed by the researcher using Microsoft Excel, PowerPoint, and IBM SPSS. The documentation and data collection responsibilities for this project also make use of several handwritten notes, Microsoft Word, and a Logbook.

Gantt chart

To use the Ganttchartthe projects activities willbe organized according to a set schedule, making it possible for the researcher to complete each study work by the deadline. As a result, they can produce a useful result in aspecific time.

References

AlAtiqi, A. and Mumen, F., 2014. The Strategic Alternatives of Vodafone UK in 2009.

AlKaabi, M., Demirbag, M. and Tatoglu, E., 2010. International market entry strategies of emerging market MNEs: A case study of Qatar telecom. Journal of EastWest Business, 16(2), pp.146170.

Amoako, G.K., 2017. Using corporate social responsibility (CSR) to build brands: A case study of Vodafone Ghana Ltd (Doctoral dissertation, London Metropolitan University).

Anwar, S.T., 2002. NTT DoCoMo and m?commerce: A case study in market expansion and global strategy. Thunderbird International Business Review, 44(1), pp.139164.

Aquilina, D.E., 2017. A case study of Vodafone Malta (Doctoral dissertation, University of Chester).

Boateng, H., 2016. Customer knowledge management practices on a social media platform: A case study of MTN Ghana and Vodafone Ghana. Information Development, 32(3), pp.440451.

Correia, P.F.V.R., 2010. Vodafone Portugal entry in the payTV market: what is the potential for profitability? (Doctoral dissertation, NSBEUNL).

Grant, R.M. and Grant, R.M., 2008. Cases to accompany contemporary strategy analysis. Malden, MA: Blackwell.

Hannah, E., OHare, B., Lopez, M., EtterPhoya, R., Murray, S. and Hall, S., 2022. The contribution of corporate tax to the Sustainable Development Goals in SubSaharan Africa employing econometric modelling: a case study of Vodafone.

Harlow, H., 2011. Vodafone Egypt (A): the investment decision. Emerald Emerging Markets Case Studies.

Harlow, H.D., 2016. Vodafone Egypt (B), managing corporate cultural change and organizational performance. Emerald Emerging Markets Case Studies.

Holland, C. and Mandry, G., 2012. Online Market Entry Strategy and the Consumer Search Process.

Jha, B., 2021. Case Analysis II: Vodafone India Ltd—Managing in a Turbulent Emerging Market. Vision, 25(1), pp.120121.

Kraus, K. and Strömsten, T., 2016. Internal/interfirm control dynamics and power—A case study of the EricssonVodafone relationship. Management Accounting Research, 33, pp.6172.

Lilien, G.L. and Yoon, E., 1990. The timing of competitive market entry: An exploratory study of new industrial products. Management science, 36(5), pp.568585.

Lott, J. and Sinha, M., 2019. MPesa’s Failure in India: Why Couldn’t Vodafone Replicate its Kenyan Success? An International Marketing Case Study (Addendum by Former and Current Executives at the Vodafone Group). The Kennesaw Journal of Undergraduate Research, 6(2), p.2.

Mboma, W.L. and Ngaiza, D., 2021. Factors influencing international market entry strategies; a case study of South African companies operating the business in Tanzania. International Journal of Economics, Commerce and Management, 9(4).

Nkomo, T.C., Emerging Markets Case Study: Winning in Ghana.

Onsongo, E., 2019. Institutional entrepreneurship and social innovation at the base of the pyramid: the case of MPesa in Kenya. Industry and Innovation, 26(4), pp.369390.

Reddy, K.S., Nangia, V.K. and Agrawal, R., 2014. Farmers Fox Theory: does a countrys weak regulatory system benefit both the acquirer and the target firm? Evidence from VodafoneHutchison deal. International Strategic Management Review, 2(1), pp.5667.

Schuster, T. and Holtbrügge, D., 2012. Market entry of multinational companies in markets at the bottom of the pyramid: A learning perspective. International Business Review, 21(5), pp.817830.

Sekhar, G.V., 2016. Transfer pricingA case study of Vodafone. International Journal of Engineering Science, 6207.

Stroube, B., KM, K., Narayana, C.N. and Murthy, M., 2019. Reinventing “Value” For Business Endurance–A Case Study Of Indian Telecom Market. Executive Editor.

Uzama, A., 2009. A critical review of market entry selection and expansion into Japans market. Journal of Global Marketing, 22(4), pp.279298.

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